US announces ‘Trade Bill’ to compete with BRICS’s growing presence in Sub-Saharan Africa

The United States has introduced a trade bill to compete with the BRICS alliance in Sub-Saharan Africa.

The Bill, African Growth and Opportunity Act (AGOA) Renewal and Improvement Act of 2024 (AGOA), as announced on Thursday by U.S. Senators, Jim Risch (R-Idaho), a ranking member of the Senate Foreign Relations Committee, and Chris Coons (D-Del.) is summarily expected to “renew and strengthen a key trade program with sub-Saharan African countries.”

AGOA plays a significant role in U.S.-sub-Saharan Africa trade and investment, as well as in U.S. foreign policy. This bipartisan bill aims to refine AGOA’s eligibility criteria, increase transparency, and hold U.S. agencies accountable for their advice to the president,” Risch said.

As projected to extend to 2041, Coons re-echoed the US stance stating that “The AGOA Renewal and Improvement Act is necessary to support continued economic development on the continent while further strengthening ties between the United States and partners in sub-Saharan Africa.”

However, the bill comes after a report titled Macroeconomic Performance and Outlook (MEO) from the African Development Bank (AfDB) in mid-February, as it established the top 10 list of fastest-growing economies in Africa.

“Despite the challenging global and regional economic environment, 15 African countries have posted output expansions of more than 5%,” Dr Akinwumi Adesina, President of the Bank Group, said, emphasising the need for expanded financing and various policy interventions to enhance Africa’s growth trajectory.

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Mayowa Durosinmi

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